What is Permanent life insurance?
Permanent life insurance gives you lifelong coverage, which never expires. Unlike term life insurance, which covers a specific period. Your beneficiaries will get a tax-free payment (the death benefit) after you die, provided you’ve paid your premiums (the monthly or annual cost you pay in exchange for having insurance). Beneficiaries can use this money any way they want.
It’s more than just insurance. Over time, your policy can build cash value you can access during your life, with certain tax implications.
Permanent life insurance is best suited to protect ‘permanent’ or ‘lifelong’ needs such as estate tax liabilities, care for a disabled child or dependent, liquidity for closely-held businesses, and even funeral expenses.
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